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Saturday, September 28, 2024

Bipartisan bill introduced to waive tariffs on imported titanium sponge

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Brad R. Wenstrup | Brad R. Wenstrup Official Photo

Brad R. Wenstrup | Brad R. Wenstrup Official Photo

Rep. Brad Wenstrup, D.P.M. (R-OH), and Rep. Dan Kildee (D-MI), along with Reps. Carol Miller (R-WV), Dina Titus (D-NV), Mike Kelly (R-PA) and Haley Stevens (D-MI), introduced the Securing America’s Titanium Manufacturing Act on June 1, 2024. The bill aims to temporarily waive the 15% tariff on imported titanium sponge to enable U.S. titanium manufacturers and workers to compete with Russian and Chinese state-owned enterprises in the global titanium market.

“The current 15% tariff on imported titanium sponge puts an unnecessary burden on American producers, especially the producers of critical products needed for our national defense,” said Rep. Wenstrup, D.P.M. “By providing a temporary waiver of these tariffs, we can ensure American producers can compete on the international stage while securing the supply chain for critical supplies needed for our defense industry.”

"American workers and manufacturers rely on titanium sponge to build components for engines, planes, and satellites—technologies that are critical to our national security,” said Rep. Kildee. “I'm pleased to introduce new legislation to safeguard our supply chain for titanium sponge, support good-paying jobs, and level the playing field for American workers in Michigan and across the country.”

“The United States should not be buying titanium from our adversaries that we can produce ourselves. Now more than ever, we should be bolstering American manufacturers and critical mineral producers to protect U.S. national security. The Securing America’s Titanium Manufacturing Act of 2024 will ensure that the United States is using our resources to improve our titanium supply, strengthen our national security, and grow our economy,” said Rep. Miller.

“This critical legislation would level the playing field for American titanium manufacturers to compete on the global stage,” said Rep. Kelly. “Titanium sponge is an essential component of military and commercial aircraft, naval vessels, satellites, and more. By removing the 15% tariff on titanium sponge, we can strengthen American companies, boost our defense industrial base, and reduce costs for both companies and producers.”

“We’re in a race for the future and titanium products are central to that future,” said Rep. Stevens.“This commonsense legislation will make it easier for our manufacturers to secure titanium sponge, a critical component in titanium products, including aircraft and satellites. That’s why I’m a proud co-sponsor of the Securing America’s Titanium Manufacturing Act, to make sure that every American worker and manufacturer can remain at the cutting edge.”

"Titanium is critical to the U.S. aerospace and defense industry. From jet engines to landing gear, it’s used in every major platform," said Eric Fanning, President and CEO of the Aerospace Industries Association."Rep.WenstrupandRep.Kildee'snewbillSecuringAmerica’sTitaniumManufacturingActwillensurereliableaccesstothisvitalmineral.TheAerospaceIndustriesAssociationthanksthemalongwithSen.CortezMastofortheirleadership."

“TIMET wants to express its sincere gratitude for Congressman Brad Wenstrup's critical work and leadership in introducing The Securing America’s Titanium Manufacturing Act in the U.S.HouseofRepresentatives.InadditiontobenefitingtheU.S.industry,thisbillwillalsohaveadirectpositiveeffectonTIMET’shardworkingemployeesinTorontoOH.ThisinitiativewillenhanceAmericancompetitivenessintheglobaltitaniummarketandstrengthenournationalsecuritysupplychain,"saidCoreyCheckanGMofTIMETToronto.

Titanium sponge is a crucial raw material used in aircraft frames,j et engines helicopters,and missiles among other products.Thereiscurrentlynodomesticproductionoftitaniumsponge leavingAmericanmanufacturersnochoicebuttoimportfromabroadandpaythe15%tariff.ThecurrenttariffsplaceAmericantitaniumproducersatacostdisadvantage harmingtheirabilitytocompetewithforeignproducersinRussiaandChinawhorelyonlocalsuppliesoftitaniumsponge.OurallyandtrustedtradingpartnerJapanprovidedoverthreequartersofU.Stitaniumspongeimportsin2023 accordingtotheU.S.GeologicalSurvey.Importantly,thebillprovidestheauthorityforthePresidenttoincreasethedutybacktoitsoriginal15%rateifthereissufficientdomesticproductiontomeetU.Snationalsecurityneeds or if imports from countries of concern begin to rise.

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